Tesoro Gold (TSO) 2025 Precious Metals Summit - Zurich summary

Project overview and resource growth

• El Zorro Gold Project in Chile has grown to 1.8 million ounces constrained, 2 million ounces unconstrained, after a 20,000m drill campaign added 500,000 ounces to the resource.

• The deposit is open in all directions, with high-grade zones at depth and significant potential for further expansion, including a 30 km gold corridor and multiple near-resource targets.

• 60% of the resource is now in the indicated category, with improved ounces per vertical metre, enhancing mining attractiveness.

• Metallurgical testing shows over 94% gold recovery at a coarse grind, low cyanide consumption, and a simple processing pathway.

• Exploration is ongoing with a three-pronged drilling campaign, including infill, extensional, and new discovery drilling.

Financials, infrastructure, and development plans

• Updated scoping study (June) supports a technically and financially robust project, with a base case NPV of $663M (7.5% discount) and IRR up to 100% at current gold prices.

• Initial mine life is 14 years, producing 111,000 ounces/year for the first nine years at an all-in sustaining cost of $1,200/oz; upfront capital is $250M.

• Fully funded through feasibility (targeted end 2026) and aggressive exploration, following a recent institutional capital raise and strategic investment from Gold Fields (13% stake, AUD 13M invested).

• Project benefits from proximity to coast, highway, power (20 km), and water (desalination plant, 20 km), with MOUs in place for infrastructure access.

• Permitting and environmental baseline studies are underway, aiming for a final investment decision and mine finance by early 2027.

Near-term milestones and exploration upside

• Pre-feasibility study (PFS) targeted for April next year, with first ore reserves to be announced then.

• 20,000m infill drilling program underway to improve resource classification; five rigs active, aiming for updated resource and PFS by April.

• New discoveries along the 30 km gold corridor, including promising shallow targets at La Brea and Pena Blanca, with potential to grow resource to 3 million ounces.

• Multiple undrilled or lightly drilled targets within 5 km of Tenera could add further value.

• Ongoing news flow expected from drilling and feasibility work over the next 6–12 months.